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Risk-off tone greets US mkt return.....>

US TSY FLOWS
US TSY FLOWS: Risk-off tone greets US mkt return from extended holiday weekend,
nothing specific or really new driving the latest bid other than continued focus
on US/China trade, Brexit and potential for general election on Oct 14. CB
policy annc: Bank of Canada Wed, and Sweden's Riksbank Thu, consensus for both:
no rate change.
- Markets still price in 100% chance of a 25bp rate cut from Fed at the
September 17-18 FOMC, but chances of a 50bps cut are back to mid-teens.
- Overnight flow includes fast$ and deal-tied selling 3s, 5s, 10s and 30s, misc
acct selling 7s, two-way in 5s, 10s and 30s. Earlier Block buy 5,544 FVZ 120-01,
-01.75 last.
- The 2-Yr yield is down 0.8bps at 1.496%, 5-Yr is down 1.1bps at 1.3752%, 10-Yr
is down 1.4bps at 1.4825%, and 30-Yr is down 1.7bps at 1.946%.

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